World Bank backs Türkiye's green export project to boost sustainable trade

Dubbed the "Türkiye Green Export Project," the initiative, led by the Turkish Eximbank (Türk Eximbank), is set to unlock €1 billion in credit for Turkish exporters, marking a pivotal step towards a more sustainable and competitive future.

Announced by Turkish Treasury and Finance Minister Mehmet Şimşek, the project addresses two critical national priorities: fostering robust exports and embracing the green transition. Türk Eximbank will facilitate access to long-term financing for exporters engaged in ventures related to green technologies, waste reduction, recycling, and other environmentally friendly practices.

The World Bank's involvement is significant, with the institution providing a €600 million guarantee for the loan, underscoring its commitment to supporting sustainable development efforts in partner countries. Moreover, the Turkish Ministry of Treasury and Finance will offer a counter-guarantee for the full €1 billion, demonstrating the government's steadfast support for the initiative.

Şimşek praised the project, highlighting its multifaceted benefits. He emphasized how it will equip Turkish exporters with the resources needed to compete effectively in the global market, particularly in light of the European Union's carbon border adjustment mechanism. Additionally, the initiative aligns with Türkiye's national strategy of prioritizing exports and directing resources towards productive and efficient sectors.

This collaboration between the Turkish government and the World Bank signifies a significant step forward for Türkiye. By providing exporters access to long-term financing and promoting environmentally friendly practices, the project aims to enhance Türkiye's export competitiveness amidst evolving global economic trends and environmental regulations. It also seeks to accelerate Türkiye's green transition by encouraging sustainable practices across various export-oriented industries, ultimately strengthening the economic resilience of Turkish businesses.

The "Türkiye Green Export Project" underscores the country’s commitment to a sustainable future and its dedication to fostering a thriving export sector. As the project unfolds, it will be closely monitored by the international community, eager to assess its impact on Türkiye's economic and environmental landscape. (ILKHA)